Key Takeaways
- Mt. Gox will start repaying victims of its 2014 hack starting July 2024.
- Repayments will include 142,000 Bitcoin, 143,000 Bitcoin Cash, and 69 billion yen.
- The process follows years of delays and involves over 127,000 creditors.
Defunct Bitcoin exchange Mt. Gox announced it will start distributing assets stolen in its 2014 hack to victims in July 2024, after years of delays.
Mt. Gox’s trustee, Nobuaki Kobayashi, confirmed in a statement that repayments will be made in Bitcoin and Bitcoin Cash from the beginning of July 2024, following necessary due diligence and safety measures.
History
Once the world’s largest Bitcoin exchange, Mt. Gox handled over 70% of all Bitcoin transactions before hackers stole 740,000 Bitcoin in 2014, now valued at $15 billion. The exchange declared bankruptcy the same year and has since faced numerous repayment delays.
Last year, a Tokyo court set an October 2024 deadline for the exchange’s civil rehabilitation plan. In preparation, Mt. Gox moved over 140,000 BTC, worth approximately $9 billion, from cold wallets in May 2023, the first such move in five years.
Repayments will be made through exchanges partnered with Mt. Gox, with the order depending on the progress of required due diligence. The reimbursements are expected to distribute 142,000 Bitcoin, 143,000 Bitcoin Cash, and 69 billion Japanese yen to around 127,000 creditors.
Impact on price
Despite concerns that large payouts might temporarily impact Bitcoin’s price, the upcoming repayments offer hope to victims who have waited over a decade to recover their funds.
“The Rehabilitation Trustee has been preparing to make repayments in Bitcoin and Bitcoin Cash under the Rehabilitation Plan,” said Kobayashi, emphasizing the importance of due diligence and safety in the process.
